Crude oil future negative by one percent today as per the lates crude oil news. Since 28 September 2023, prices retreated more than 4.5% as concern that economic jitters and a stronger U.S. dollar put pressure on dollar denominated commodities. However, prices rebounded from three week low supported by tightening crude supply.
Brent crude oil futures were down 1.13% $89.97 a barrel at 0927 GMT, while U.S. West Texas Intermediate crude (WTI) fell 1.33%, to $88.17 per barrel.
Both contracts traded more than $1 lower than Tuesday’s settlement price at their intraday nadir on Wednesday, with Brent falling to $89.83 a barrel, and WTI to $88.11 a barrel as per the recent crude oil news update.
Earlier today, Saudi Arabia’s energy ministry confirmed on Wednesday it will continue its voluntary 1 million barrel per day (bpd) crude supply cut until the end of this year, offset by demand fears stemming from macroeconomic headwinds.
Further, Russia said it will continue its current 300,000 bpd crude export cuts until the end of the year, and will review its voluntary 500,000 bpd output cut, set back in April, in November.
Russia was also discussing partial permission for fuel exports “at all levels”, state-run TASS agency reported on Wednesday, citing Russian Energy Minister Nikolai Shulginov.
Apart from this, EIA is set to release its report on US stockpiles which is likely to add volatility. The weekly inventory data published by the American Petroleum Institute (API) on Tuesday showed that US Crude Oil stockpiles possibly fell as much as 4.0 million barrels last week. The consensus estimates, meanwhile, suggest a draw down of 0.092 million barrels as compared to a fall of 2.17 million barrels in the previous week.
Crude Oil News | Technical Outlook
Since 23 September 2023, Crude oil retreated more than 4.5%. Prices dropped from the high 7884 and recently touched a low 7341.00. Traded down 1.50% at 7336 compared to previous day’s close of 7448.00.
On the above chart, after forming a three black crows candlestick, prices are heading towards multiple support areas around 7240-7190 levels. Near future momentum is likely to remain weak and prices could test above support levels very soon.
On the upside, massive resistance is seen at 7580 and a break above only could witness recovery rally towards 7680-7790 levels.
Overall trend expects to remain volatile, however prices are appearing to retreat towards immediate support before next any upside tick.
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